Why you need to get a smart meter in your rented property

Having a smart meter in your rented property is a great way to minimise void periods in your property and to become compliant with government expectations. As you may already be aware, the 2030 EPC ‘C’ rating is fast approaching, and the government is working hard to implement ‘Smart readiness’ metrics. 

This means that having a smart meter in a rented property has become a focal point for landlords. You may have received letters from energy suppliers or requests from your tenants to install smart meters, and the reality is that landlords implementing smart meters is on the rise. It is one of the most effective, zero-cost ways to future-proof your property investment. 

Here, we’ll go through the reasons for needing to install a smart meter in your rental property as a modern landlord. 

Why smart meters in rented properties matter

In the past, Energy Performance Certificates have been based on a single cost-based metric, but from October 2026, the UK will be moving to a multi-metric EPC system, which prioritises: 

1. Fabric performance (insulation and glazing).
2. Smart readiness (property’s ability to interact with the grid).

A landlord smart meter will now be a direct contributor to the ‘smart readiness’ score of your property. Rented property without a smart meter will undeniably find it more difficult to hit the C grade by 2030. So, by installing a smart meter now, you are boosting your property’s future regulatory standing without having to spend money on contractors or materials. 

Preventing void periods 

One of the most stressful parts of renting out a property is having void periods between tenancies. Usually, traditional meters will lead to estimated bills, rather than an accurate number that tenants can rely on.  This often results in tenants having to play catch-up, which will cause financial stress for them. So, with a smart meter in a rented property, you gain:

• Precision billing: Your tenants will have an exact amount that they need to budget for every month, making paying bills a lot easier. Also, as a landlord, your smart meter will give you the exact amount of kilowatt hours that were used during those void periods when you need to clean or conduct property viewings. This way, you won’t be billed unnecessarily. 
• Remote monitoring: Most energy suppliers offer landlord portals where you can check that the heating hasn’t been left on. This prevents mould and ensures no energy is wasted. 
• No manual readings: Your energy readings will automatically be sent to the supplier instead of you having to take manual readings. 

Smooth tenant transitions 

The final utility bill can sometimes be a point of tension at the end of a tenancy, especially if the information provided by the tenant is inaccurate. This can delay billing a new tenant when they need to move into the property. This can also delay deposit returns, which could result in disputes via the Deposit Protection Service (DPS). 

Having a smart meter in a rented property means that you have a digital paper trail that you can refer to should there be any issues. So, both the tenant leaving and the new tenants will have access to an indisputable record of when the energy usage shifted from one account to the next. 

Now, you won’t be chased by a previous tenant’s debt and ensure that the handover is as seamless as possible when it comes to energy bills.   

Financial flexibility

Previously, switching to a pay-as-you-go meter required you to pay a few hundred pounds for an engineer to come to the property. These days, however, landlord smart meters can be switched between credit and prepayment modes via software. 

This means that if you have a high-risk tenant, you can request the supplier to move them to a repayment plan, which will ensure that they don’t build up debt, resulting in a ‘debt on meter’ situation. 

On the other hand, however, if you have a tenant who pays regularly, you can switch the smart meter back to ensure the property is more attractive. This way, you can adapt the property to the specific needs of your tenants without massive changes. 

Tenant retention and ‘time of use’ tariffs

It is safe to say that tenants prioritise the energy consumption of a property when looking for places to rent. Having a smart meter in your rented property means that you can also offer Time of Use (ToU) tariffs that take into consideration electricity that is used overnight, such as a dishwasher or charging EVs. 

Having a smart meter in a rented property is the only way a tenant can access these cheaper, flexible rates. So, when you can provide a property with lower energy bills, you’re instantly making the property more affordable. This will directly correlate to longer tenancies and fewer rent arrears. 

Addressing landlord concerns

Let’s now take a look at different concerns you may have as a landlord with smart meters in your rented property:

Myth: “If my tenant switches suppliers, the meter won’t work.”

While first-generation smart meters did have this issue, the newest generation of meters (SMETS2) is connected to a central national network, which means that they keep all the previous information, regardless of which supplier the tenant chooses. 

Myth: “I need to give permission for every installation.”

If your tenant pays the energy bills and the account is in their name, they technically have the legal right to request a smart meter for the rented property. Nowadays, refusing a smart meter is increasingly seen as unreasonable unless there are structural safety concerns. 

Myth: “Smart meters are a privacy risk.”

Smart meters won’t store any personal data and only record energy consumption data. The data is also only used for billing and grid management purposes. 

A landlord’s smart meter checklist

Here are three steps you can follow to ensure your rented property has a smart meter installed as smoothly as possible: 

1. Communicate with tenants: Make sure that you have communicated with the tenant to arrange a suitable time for the smart meter to be installed. 
2. Update the inventory: Make sure that you have updated the inventory list so that the tenant doesn’t mistakenly take the meter with them when they leave. If they do, you may be charged for the replacement. 
3. Check the signal: Ask the supplier to check the signal if your property is in a basement or a remote area. It is common for aerial boosters to be supplied to ensure that the smart meter can communicate with the network. 

Allowing a smart meter in a rented property is one of the few things that costs nothing but offers significant rewards for landlords. Not only does a landlord smart meter boost your EPC Smart Readiness, but it also helps minimise void periods. So, the benefits are both financial and operational. 

Are you looking for landlord insurance to help protect your rental property? Be sure to get in touch with our team of specialists for a quote today on 01788 818 670, or you can visit our advice centre for more information on how to manage your rental property.